1.1.................... moves to amend H.F. No. 316 as follows:
1.2Page 8, after line 6, insert:

1.3    "Sec. 15. Minnesota Statutes 2014, section 256B.441, is amended by adding a
1.4subdivision to read:
1.5    Subd. 51b. Employee compensation encumbrance. (a) Beginning October 1,
1.62015, the commissioner shall determine the amount of new funding provided to each
1.7facility under this section. Each facility must spend this new funding in accordance with
1.8paragraphs (b) to (f).
1.9(b) One hundred percent of the money resulting from the rate adjustment under this
1.10section must be used for increases in compensation-related costs for employees directly
1.11employed by the nursing facility on or after October 1, 2015, except:
1.12(1) the administrator;
1.13(2) persons employed in the central office of a corporation that has an ownership
1.14interest in the nursing facility or exercises control over the nursing facility; and
1.15(3) persons paid by the nursing facility under a management contract.
1.16(c) The commissioner shall allow as compensation-related costs all costs for:
1.17(1) wage and salary increases effective after May 25, 2015;
1.18(2) the employer's share of FICA taxes, Medicare taxes, state and federal
1.19unemployment taxes, and workers' compensation;
1.20(3) the employer's share of health and dental insurance, life insurance, disability
1.21insurance, long-term care insurance, uniform allowance, and pensions; and
1.22(4) other benefits provided subject to the approval of the commissioner.
1.23(d) Nursing facilities may apply for the rate adjustment under this section that
1.24is subject to the requirements in paragraph (b). The application must be submitted to
1.25the commissioner by April 1, 2016, and the nursing facility must provide additional
1.26information required by the commissioner by July 1, 2016. The commissioner must
1.27respond to all applications within three weeks of receipt. The commissioner may waive
2.1the deadlines in this paragraph under extraordinary circumstances, to be determined at the
2.2sole discretion of the commissioner. The application must contain:
2.3(1) a detailed distribution plan specifying the allowable compensation-related
2.4increases the nursing facility will implement to use the new funding;
2.5(2) a description of how the nursing facility will notify eligible employees of
2.6the contents of the approved application, which must provide for giving each eligible
2.7employee a copy of the approved application, or posting a copy of the approved
2.8application, for a period of at least six weeks in an area of the nursing facility to which all
2.9eligible employees have access; and
2.10(3) instructions for employees who believe they have not received the
2.11compensation-related increases specified in clause (1), as approved by the commissioner,
2.12and which must include a mailing address, e-mail address, and the telephone number
2.13that may be used by the employee to contact the commissioner or the commissioner's
2.14representative.
2.15(e) The commissioner shall ensure that cost increases in distribution plans under
2.16paragraph (d), clause (1), that may be included in approved applications, comply with the
2.17following requirements:
2.18(1) a portion of the costs resulting from tenure-related wage or salary increases
2.19may be considered to be allowable wage increases, according to formulas that the
2.20commissioner shall provide, where employee retention is above the average statewide
2.21rate of retention of direct-care employees;
2.22(2) the annualized amount of increases in costs for the employer's share of health
2.23and dental insurance, life insurance, disability insurance, and workers' compensation
2.24shall be allowable compensation-related increases if they are effective on or after April
2.251, 2015, and prior to April 1, 2016; and
2.26(3) for nursing facilities in which more than ten percent of employees are represented
2.27by an exclusive bargaining representative, the commissioner shall approve the application
2.28only upon receipt of a letter of acceptance of the distribution plan, in regard to members of
2.29the bargaining unit, signed by the exclusive bargaining agent, and dated after May 25, 2015.
2.30Upon receipt of the letter of acceptance, the commissioner shall deem all requirements of
2.31this paragraph as having been met in regard to the members of the bargaining unit.
2.32(f) The commissioner shall review applications received under paragraph (d)
2.33and shall provide the rate adjustment under paragraph (b) if the requirements of this
2.34subdivision have been met. The rate adjustment shall be effective October 1, 2015.
2.35Notwithstanding any other law or rule to the contrary, if the approved application
3.1distributes less money than is available, the amount of the rate adjustment shall be reduced
3.2so that the amount of money made available is equal to the amount to be distributed."
3.3Renumber the sections in sequence and correct the internal references
3.4Amend the title accordingly